PETALING JAYA: Maybank Investment Bank Bhd (Maybank IB) has issued 12 new European style cash-settled call warrants over ordinary shares of Aeon Credit Service (M) Bhd, AirAsia Group Bhd, AMMB Holdings Bhd, CIMB Group Holdings Bhd, Petronas Chemicals Group Bhd, Petronas Dagangan Bhd, Petronas Gas Bhd, Ranhill Holdings Bhd, RHB Bank Bhd, Sapura Energy Bhd, Supermax Corp Bhd and Top Glove Corp Bhd.
It also issued one European style cash-settled call warrant and one European style cash-settled put warrant over the FTSE Bursa Malaysia KLCI.
The call warrants and put warrant were listed on April 10 with an issue size of 100 million each.
The tenure for the 13 call warrants and one put warrant is about 10 months.
Maybank IB said in a statement that it reiterates the defensive core equity strategy as Bank Negara’s dovish statement from the recent Monetary Policy Statement implies that Malaysia’s economic growth will ease slightly this year.
“Based on the FBM KLCI’s end-March market close, the benchmark index is currently priced at 16 times 12-month forward earnings.
Maybank IB noted that local institutions were net buyers of RM1.4 billion in shares in March 2019, with buying interest focused on small to mid-sized market capitalisation stocks.
“On the other hand, upside is seen in Malaysian equities from fresh foreign net buying if Malaysia’s economic fundamentals improve and policy risks dissipate going forward.”
It said there may be pockets of opportunities for investors to trade on newsflow and thematics. This tranche of call warrants includes underlying companies in the financial, oil & gas, transportation and glove sectors.